Faruqi & Faruqi, LLP Securities Litigation Partner James (Josh) Wilson Encourages Investors Who Suffered Losses In GeneDx To Contact Him Directly To Discuss Their Options
If you purchased or acquired securities in GeneDx between April 16, 2025 and May 4, 2026 and would like to discuss your legal rights, call Faruqi & Faruqi partner Josh Wilson directly at 877-247-4292 or 212-983-9330 (Ext. 1310).
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NEW YORK, June 12, 2026 (GLOBE NEWSWIRE) -- Faruqi & Faruqi, LLP, a leading national securities law firm, is investigating potential claims against GeneDx Holdings Corp. (“GeneDx” or the “Company”) (NASDAQ: WGS) and reminds investors of the August 3, 2026 deadline to seek the role of lead plaintiff in a federal securities class action that has been filed against the Company.
Faruqi & Faruqi is a leading national securities law firm with offices in New York, Pennsylvania, California and Georgia. The firm has recovered hundreds of millions of dollars for investors since its founding in 1995. See www.faruqilaw.com.
As detailed below, the complaint alleges that the Company and its executives violated federal securities laws by making false and/or misleading statements and/or failing to disclose that: (1) the Company may have misled investors about the importance of Fabric Genomics; (2) as a result, the Company’s margins would suffer; (3) the company’s average reimbursement rates were not as “durable” as previously disclosed; (4) as a result of the foregoing, the Company’s gross margins would decline; and (5) as a result of the foregoing, Defendants’ positive statements about the Company’s business, operations, and prospects were materially false and misleading and/or lacked a reasonable basis.
On May 4, 2026, the price of the Company's shares closed at $67.93. After hours, the Company disclosed that its Q1 financial results had missed for both its exome and genome lines, and cut its 2026 guidance from $540-555 million to $475-490 million.
During the related earnings call, the Company disclosed that the average reimbursement rate came in at $3,300, or $200 below expectations. It also disclosed that it had taken a goodwill impairment charge of $31.3 million as a part of the Fabric Genomics acquisition – after paying $36.5 million for the Company only a year before.
On this news, GeneDx’s share price fell over 49%, or $33.42 per share, from the close on the previous day.
The court-appointed lead plaintiff is the investor with the largest financial interest in the relief sought by the class who is adequate and typical of class members who directs and oversees the litigation on behalf of the putative class. Any member of the putative class may move the Court to serve as lead plaintiff through counsel of their choice, or may choose to do nothing and remain an absent class member. Your ability to share in any recovery is not affected by the decision to serve as a lead plaintiff or not.
Faruqi & Faruqi, LLP also encourages anyone with information regarding GeneDx’s conduct to contact the firm, including whistleblowers, former employees, shareholders and others.
To learn more about the GeneDx class action, go to www.faruqilaw.com/WGS or call Faruqi & Faruqi partner Josh Wilson directly at 877-247-4292 or 212-983-9330 (Ext. 1310).
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Frequently Asked Questions (FAQ) for Investors Regarding the GeneDx Holdings Corp. Securities Class Action Lawsuit:
What is the GeneDx Holdings securities fraud lawsuit about?
The GeneDx Holdings securities fraud lawsuit is a federal securities class action alleging that GeneDx Holdings Corp. (NASDAQ: WGS) and its executives made false and misleading statements to investors by misrepresenting the importance and value of its Fabric Genomics acquisition, overstating the durability of its average reimbursement rates, and concealing that the Company's gross margins would decline as a result. As the truth emerged on May 4, 2026 — when GeneDx disclosed that Q1 results had missed expectations across both its exome and genome lines, cut its 2026 revenue guidance from $540–$555 million down to $475–$490 million, revealed that average reimbursement rates came in at $3,300 (approximately $200 below expectations), and disclosed a $31.3 million goodwill impairment charge on the Fabric Genomics acquisition it had purchased for $36.5 million just one year prior — WGS shares fell over 49%, or $33.42 per share, in a single day, causing significant losses for investors.
Who may be eligible to participate in the GeneDx Holdings class action lawsuit?
Investors who purchased or acquired GeneDx Holdings (WGS) stock between April 16, 2025 and May 4, 2026 — the Class Period — and suffered financial losses may be eligible to participate in the GeneDx securities class action. Participation as a class member does not require taking any affirmative legal action; eligible investors may recover losses simply by remaining members of the class. Whistleblowers, former GeneDx employees, and others with relevant information about the Company's conduct are also encouraged to come forward.
What is a lead plaintiff, and how can I seek appointment in the GeneDx Holdings lawsuit?
A lead plaintiff in the GeneDx Holdings class action is a court-appointed investor — typically the one with the largest financial interest in the case — who directs and oversees the litigation on behalf of all class members. Any GeneDx investor who purchased WGS stock during the Class Period may move the Court to serve as lead plaintiff through counsel of their choice. The deadline to seek lead plaintiff appointment is August 3, 2026. Importantly, choosing not to seek the lead plaintiff role does not affect an investor's ability to share in any recovery obtained for the class.
What should investors do if they purchased GeneDx Holdings stock during the Class Period?
Investors who purchased GeneDx Holdings (WGS) stock between April 16, 2025 and May 4, 2026 and suffered losses should contact Faruqi & Faruqi, LLP immediately to discuss their legal rights. The deadline to seek appointment as lead plaintiff in the GeneDx Holdings securities class action is August 3, 2026. To speak directly with securities litigation partner Josh Wilson, call 877-247-4292 or 212-983-9330 (Ext. 1310), or visit www.faruqilaw.com/WGS for more information.
Attorney Advertising. The law firm responsible for this advertisement is Faruqi & Faruqi, LLP (www.faruqilaw.com). Prior results do not guarantee or predict a similar outcome with respect to any future matter. We welcome the opportunity to discuss your particular case. All communications will be treated in a confidential manner.
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